France’s ‘simplification’ bill - six changes proposed for everyday life

French MPs are currently debating a ‘simplification law’ that seeks to slash red tape for French businesses and residents. 

Debates on the wide-reaching bill began on April 9 in the Assemblée nationale, although a previous version had already been discussed in the Senate at the end of 2024. 

Over 2,500 amendments are being debated by MPs meaning the bill will be sent back to the Senate for further approval before it is made law.

The bill is significant – some MPs including Corsican Laurent Marcangeli said French businesses spend up to eight hours per week on paperwork, contributing to a 3% reduction in GDP. 

However, others – particularly Green MPs – say the bill is too intrusive, ripping up important legislation included in the 2021 climate act. They say this will have a negative impact on France’s environment.

Below, we highlight key parts of the bill.

Quicker insurance claim turnaround 

Insurance companies must respond to and payout insurance claims sooner. 

The ‘compensation period’ – the time between an insurer receiving a claim and officially accepting or refusing it – will be set to two months for standard claims (burglaries, damage, etc). 

In cases where the damage is caused by a natural disaster (catastrophe naturelle) and experts must be called in, the period will be six months after the claim is made (which firstly requires the commuter where the property is located to be detailed in the Journal Officiel). 

‘Relaxation’ of low-emission zone rules 

Proposals for abolishing France’s low-emission zones (zones à faibles émissions, ZFE) are included in the bill. 

The matter is contentious, with several parties on both the left and right – and prime minister François Bayrou – being in favour of removing them, but other members of the government such as Minister for Ecological Transition Agnès Pannier-Runacher back the scheme. 

An outright ban on the zones is likely to pass due to this support, but Ms Pannier-Runacher said the government will urge politicians to find a middle ground and accept a compromise of ‘relaxing’ the scheme, and giving local authorities more control over the measures. 

How this will unfold exactly is unclear, but Ms Pannier-Runacher said proposals would include less severe restrictions around Lyon and Paris, two of the cities with the strictest regulations currently in place.

Read more: MPs push to remove low emission driving zones in France

More bistros and cafés in rural areas 

To combat a reduction in the number of social establishments in rural areas, it will be easier to gain the necessary licences to open cafés or bistros. 

Mostly, this will see local mayors allowed to grant those wanting to open such an establishment with a Licence IV – allowing them to serve strong spirits – on the condition the commune has fewer than 3,500 residents and where there is not already such establishment with a Licence IV in place. 

Currently, a Licence IV cannot simply be granted, there are several procedures to undertake including that the licence must be purchased from an existing establishment. 

A bill containing an almost identical measure was proposed earlier this year and approved by MPs, meaning the measure is likely to be backed again. 

Read more: Law proposal to make it easier to open bistrots in French villages

Payslip simplification 

Previously the subject of jokes over complex French administration, payslips are targeted to be further simplified, containing only 15 lines (compared to around 50 currently). 

They will contain information about total pay for an employee, however additional information relating to ticket restaurant benefits, transport expenses etc will be removed and available separately. 

This aspect of the bill is widely supported, however its adoption may be modified as financial sector companies will need to work with the government on this. 

Easier administration for businesses 

Future governments will be able to simplify administrative procedures using decrees and ordinances, following reviews by experts in each sector and area. 

This will aim to reduce the overall number of forms and procedures businesses must deal with, digitise services, and increase information sharing between administrative departments – including several ‘tell us once’ policies (where the same information does not need to be provided multiple times).

Businesses will also have greater access to public procurement information. 

Prior to any implementation, the government will conduct a simulation on how measures will affect small and medium sized businesses. 

Professional bank account services will also be improved, including the ability to close an account without charge. 

Easier to make claims against government 

Finally, the bill includes measures to make complaints against the French administration system easier, with a ‘generalisation’ of mediation. 

Companies will be able to apply to this mediation process to try and resolve any issues amicably, and in the meantime deadlines on taking legal action against the government will be paused. 

Further changes for businesses can be found on the government website about the bill here.